Exela Technologies leaps 179% after winning $90 million data-management contract from 'major' health insurer

• Exela surged as high as 224% Tuesday after the company won a contract from an unnamed health insurer.
• Exela's 10-year contract broadens the company's relationship with the health insurer.
• The company said previous work with the insurer has generated more than $28 million in revenue.

Shares of Exela Technologies more than tripled Tuesday after the company said it won a $90 million, multi-year contract to help a 'major' health insurer in accelerating its digital transformation work. The stock was up as much as 224% before paring gains to close at $4.61, up 179% for the day.

Exela did not name the insurer in its statement but said the 10-year agreement is part of a broader relationship that included more than $28 million in revenue last year.

Volume of about 439 million shares was sharply higher than average daily volume of 4.6 million shares.

The company said its work under the contract will include blending automation technologies and software as a service through its PCH Global platform that launched in September.

The venture will include working with end-to-end processing of "complex health insurance claims and multi-channel correspondence" between the insurance company and their provider and member networks, said Exela.